Reddit modifies Ad personalization settings, removes Opt-Out option for targeted ads

Reddit is modifying its ad personalization settings, removing the option for some users to opt out of targeted ads. This update will be implemented gradually in the coming weeks, with exceptions for certain undisclosed countries. Jutta Williams, Reddit's head of privacy, explained that this change is supposedly aimed at enhancing the relevance of ads without modifying Reddit's data collection or sharing practices, or disclosing user data to third parties for external advertising. The update itself doesn't increase the number of ads but will be targeted based on user activity, such as community participation and voting.

The platform is consolidating two switches related to ad display based on user activity and partner information into just one (for most locations), and it's not clear if parameters such as "general location" and partner site activity will be used by default for post suggestions without an option to disable them. Reddit also intends to allow users to reduce the number of ads they see from specific categories such as gambling, alcohol, weight loss, and dating, but these controls may not completely eliminate all ads.

This change adds to the list of recent controversial changes made by the social platform to increase monetization, including modifying its data API terms, which resulted in the closure of third-party clients and subreddit protests, as well as the recently introduced creator rewards program. The list of countries exempt from these changes has not yet been clearly disclosed, but given that this compulsory ad personalization could potentially conflict with the EU's General Data Protection Regulation (GDPR) rules, which require clear user consent for data collection and processing for advertising, we can assume that it pertains to countries within the European Union.